Tensions high ahead of Greek election

Central banks from Tokyo to London checked their ammunition yesterday in preparation for turmoil from Greece’s election, with the ECB hinting at an interest rate cut and Britain set to open its coffers.

Tensions were high about how to manage the eurozone’s debt crisis — epitomised by Greece’s bankruptcy and need for international aid — and a rare fight broke out between Germany and France, normally the glue that keeps the bloc together.

German chancellor Angela Merkel criticised France’s economic performance, effectively taking a swipe at Socialist President François Hollande, who has called for more emphasis on economic growth and less on budget austerity.